AI

ServiceNow (NOW) stock is rising 14% to $124 as capital rotates into beaten-down enterprise software following Dell Technologies (DELL) posting Q1 FY2027 revenue of $43.84B (up 88% YoY) with AI-optimized server revenue jumping 757% to $16.13B. Snowflake (SNOW) has reported Q1 revenue of $1.39B (up 34% YoY) and raised its full-year guidance, while Wipro (WIT) has expanded its AI partnership with ServiceNow (NOW) for agentic workflows. Dell’s blowout earnings validated the enterprise AI infrastructure thesis that ServiceNow is positioned to capture through its workflow and governance layer, triggering broad repricing across the software stack as the “SaaSpocalypse” narrative retreats. Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Dell Technologies didn't make the cut. Grab the names FREE today. Shares of ServiceNow (NYSE:NOW) are up 14% in Friday trading, changing hands at roughly $124 after closing Thursday at $108.73. The pop comes as capital rotates back into beaten-down enterprise software names following a blowout quarter from Dell Technologies (NYSE:DELL). The move is striking given the setup. ServiceNow stock still sits 47% below its one-year high, so this is a bounce off of a deeply oversold tape. Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Dell Technologies didn't make the cut. Grab the names FREE today. The broader software complex is participating. Snowflake (NYSE:SNOW), Wipro (NYSE:WIT), and C3.ai (NYSE:AI) shares are all in motion as investors reprice the AI workflow layer. Dell Technologies reported Q1 FY2027 results after Thursday's close, posting revenue of $43.84 billion, up 88% year over year (YoY) against a consensus near $35.77 billion. Non-GAAP EPS of $4.86 crushed the $2.96 estimate by 64%. The headline figure was AI-optimized server revenue of $16.13 billion, up 757% YoY, with $24.4 billion in AI orders booked during Q1. Dell Technologies also raised its full-year FY27 revenue guidance to $165 billion to $169 billion and lifted its full-year AI server outlook to roughly $60 billion. Those numbers validate the enterprise AI buildout that ServiceNow is leveraged to. ServiceNow sits as the workflow and governance layer on top of that infrastructure spend, and the read-through is direct. Dell stock is up 29% in Friday's session. The rotation started earlier in th...

REDWOOD CITY, Calif., May 28, 2026--(BUSINESS WIRE)--C3 AI (NYSE: AI), the Enterprise AI application software company, today announced it will issue its financial results for the fiscal fourth quarter and full fiscal year, which ended April 30, 2026, following the close of the U.S. markets on Wednesday, June 3, 2026. C3 AI will host a conference call and webcast to discuss the financial results. The conference call will begin at 2:00 p.m. PDT / 5:00 p.m. EDT on June 3, 2026. Analysts and investors may participate in the question-and-answer session. Conference Call Details Date: Wednesday, June 3, 2026Time: 2:00 p.m. Pacific Standard Time To access the conference call via a dial-in number and personalized PIN code, participants should register here: telephone registration. To listen to the conference call via webcast, participants should register here: webcast registration. Access to the conference call is also available on the C3 AI Investor Relations website events page. The audio replay will be available approximately two hours after its completion and will be accessible for 30 days on the C3 AI Investor Relations website. About C3.ai, Inc. C3 AI is the Enterprise AI application software company. C3 AI delivers a family of fully integrated products including the C3 Agentic AI Platform, an end-to-end platform for developing, deploying, and operating enterprise AI applications, C3 AI applications, a portfolio of industry-specific SaaS enterprise AI applications that enable the digital transformation of organizations globally, and C3 Generative AI, a suite of domain-specific generative AI offerings for the enterprise. View source version on businesswire.com: https://www.businesswire.com/news/home/20260528523232/en/ Contacts C3 AI Public Relations AxicomMindy [email protected] Investor Relations [email protected]

Transcat, Inc. (TRNS) came out with quarterly earnings of $0.56 per share, beating the Zacks Consensus Estimate of $0.51 per share. This compares to earnings of $0.64 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +9.80%. A quarter ago, it was expected that this company would post earnings of $0.3 per share when it actually produced earnings of $0.26, delivering a surprise of -13.33%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Transcat, which belongs to the Zacks Instruments - Control industry, posted revenues of $89.33 million for the quarter ended March 2026, missing the Zacks Consensus Estimate by 1.65%. This compares to year-ago revenues of $77.13 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Transcat shares have added about 28.7% since the beginning of the year versus the S&P 500's gain of 9.2%. While Transcat has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Transcat was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. I...

Innodata Inc. INOD stock has emerged as one of the hottest artificial intelligence plays in 2026. Shares of the AI data engineering company have skyrocketed 96.6% since the company reported first-quarter 2026 results on May 7, after the closing bell. The rally has massively outpaced the Zacks Engineering - R and D Services industry’s modest 0.2% gain and the S&P 500 Index’s 0.6% rise during the same period. INOD Price Performance (Post Q1 Release) Image Source: Zacks Investment Research On a year-to-date basis, INOD stock has surged 76.1%, comfortably beating the industry’s 43.5% increase and the broader market’s 8.8% gain. INOD Price Performance (YTD) Image Source: Zacks Investment Research The sharp rally reflects investors’ growing confidence in Innodata’s positioning within the fast-expanding generative AI ecosystem. The company delivered blowout first-quarter results, raised guidance and highlighted several large AI-related opportunities tied to hyperscalers, frontier model builders and enterprise AI adoption. However, after such a massive run, investors are now asking whether the upside story still has room to play out or whether it is time to lock in gains. Innodata’s first-quarter 2026 performance was impressive across almost every metric. Revenue increased 54% year over year to $90.1 million, beating analyst expectations by nearly 18%. Adjusted EBITDA jumped 96% to $25 million, while adjusted gross margin expanded to 47% from 43% in the year-ago quarter. The company’s earnings call highlighted how Innodata is benefiting from rising investments in generative AI infrastructure and model development. Management emphasized that AI models are rapidly evolving from simple chatbot systems toward advanced reasoning engines, autonomous agents and physical AI applications. This shift is driving demand for specialized data engineering, evaluation systems, trust and safety services and agent optimization capabilities — areas where Innodata is aggressively expanding. One of the biggest positives from the quarter was a new engagement with a major Big Tech customer that could generate approximately $51 million in 2026 revenue. Management stated that this customer generated no revenue for Innodata a year ago but is now expected to become the company’s second-largest customer this year. The company is also seeing strong momentum beyond its largest customer. Revenue...

C3.ai, Inc. AI has provided preliminary financial results for its fourth quarter and fiscal 2026 (ended April 30, 2026) and significant changes to its executive leadership. The results were measured against the company’s guidance issued in the third quarter of fiscal 2026. C3.ai signed 28 agreements during the fiscal fourth quarter, including nine new Initial Production Deployments (IPDs) and seven IPD conversions. However, bookings were lower than expected. The company said its restructuring plan remains on track to deliver roughly $135 million in annualized non-GAAP cost savings and reduce cash burn by a similar amount. Following the announcement, AI stock declined 7.3% during trading hours yesterday. The company reported total revenues of $51.6 million in the fiscal fourth quarter, which fell within its established guidance range of $48 to $52 million. The non-GAAP loss from operations came in at $54.4 million, outperforming the company's expected non-GAAP loss from operations range of $56-$64 million. This non-GAAP figure excludes roughly $10.8 million in pre-tax restructuring expenses associated with an operational efficiency plan, covering costs such as severance, stock-based compensation and WARN Act payments. Furthermore, AI maintained a strong balance sheet with $575.4 million in cash, cash equivalents and investments as of the fiscal fourth quarter. During fiscal 2026, total revenues reached $250.3 million, meeting the company’s guided range of $246.7 to $250.7 million. Similar to the quarterly performance, the full-year non-GAAP loss from operations of $217.8 million was narrower than the projected guidance range of $219.5 to $227.5 million. In the past three months, shares of AI have lost 18.7% compared with the Zacks Computers - IT Services industry’s 6.3% decline. The company’s performance is expected to have been hurt by weak sales execution, particularly in North America and Europe, which contributed to lower-than-expected deal closures and softer performance. During the third-quarter 2026 earnings call, management acknowledged disappointing execution and outlined a restructuring plan focused on lowering costs, flattening the sales organization, prioritizing large enterprise-wide transformations and accelerating product velocity. Image Source: Zacks Investment Research Despite near-term challenges, C3.ai’s strong balance sheet, cost-reduction...

SoundHound AI, Inc. SOUN is scheduled to report its first-quarter 2026 results on May 7, 2026, after market close. In the last reported quarter, SoundHound delivered strong growth in fourth-quarter 2025, with revenues rising 59% year over year to $55.1 million and beating the Zacks Consensus Estimate by 2%, driven by broad-based demand across enterprise AI, restaurants and automotive markets. Margins improved, with GAAP gross margin increasing to 47.9% from 39.9% a year ago, and non-GAAP rose to 60.5% from 52.1% a year ago, reflecting better scale and efficiency. Adjusted EBITDA loss narrowed, signaling improving operating leverage. The company reported GAAP net income of $40.1 million, mainly due to non-cash gains, while underlying profitability remained negative. Strong deal activity and customer additions highlighted continued momentum. The company’s loss per share of 2 cents came in line with the Zacks Consensus Estimate and narrowed from 5 cents a year ago. This maker of artificial intelligence (AI) tools for computer interpretation of voice commands surpassed earnings estimates in three of the trailing four quarters and met on the other occasion, with an average surprise of 22.3%. You can see the historical figures in the chart below. Image Source: Zacks Investment Research The Zacks Consensus Estimate for the first-quarter bottom line has remained unchanged at a loss of 5 cents per share over the past 60 days. The company reported a year-ago loss per share of 6 cents. The consensus mark for revenues is pegged at $42.7 million, suggesting a 46.6% year-over-year increase. For 2026, SOUN is expected to register a 37.8% increase from a year ago in revenues to $232.7 million. Its bottom line is expected to witness an improvement to a loss of 9 cents per share from 13 cents reported in 2025. SOUN’s Earnings Estimate Image Source: Zacks Investment Research Our proven model does not conclusively predict an earnings beat for SoundHound for the quarter to be reported. That is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) for this to happen. This is not the case here, as you will see below. Earnings ESP: SoundHound has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Zacks Rank: The company currently carries a Zacks Ra...

BigBear.ai Holdings, Inc. BBAI is scheduled to report first-quarter 2026 results on May 5, after the closing bell. The quarterly results are likely to reflect early benefits from strategic repositioning, acquisitions and improving demand trends, alongside continued execution and cost-related pressures. BigBear.ai’s fourth-quarter 2025 results were mixed, with weak operating performance but improved reported losses. Revenues fell sharply to $27.3 million from a year ago and also missed the Zacks Consensus Estimate by 15.8% due to lower volumes on Army programs, while gross margin dropped to 20.3% from 37.4% amid the absence of high-margin contracts. Despite this, net loss narrowed significantly to $5.8 million from $138.2 million, mainly due to non-cash gains and tax benefits rather than core operations. Adjusted EBITDA turned negative at $10.3 million, reflecting margin pressure, and higher R&D and SG&A spending. The company reported a loss of 4 cents per share, narrower than the consensus mark of a loss of 5 cents per share, but flat year over year. This artificial intelligence (AI) provider surpassed earnings estimates in two of the trailing four quarters and missed on the other two occasions, with an average negative surprise of 12.3%, as shown below. Image Source: Zacks Investment Research The Zacks Consensus Estimate for the first-quarter bottom line has widened to a loss of 6 cents from a 5-cent loss over the past 30 days. The estimated figure indicates a narrower loss from the year-ago reported loss of 10 cents per share. The consensus mark for revenues is pegged at $31.3 million, suggesting a 10% year-over-year decrease. For 2026, BigBear.ai is expected to register a 12.5% increase in revenues from a year ago. Its bottom line is expected to witness a loss of 30 cents per share, which is narrower than the 2025 figure of an 82-cent loss. BBAI’s Earnings Estimate Image Source: Zacks Investment Research BBAI’s Revenue Estimate Image Source: Zacks Investment Research Demand Momentum Across National Security & AI Programs: BigBear.ai’s first-quarter revenues are expected to have benefited from stronger demand across its core national security, travel and trade markets. The company is seeing increasing traction from government-focused AI programs, supported by evolving U.S. defense and AI acceleration strategies that emphasize rapid deployment of advanced t...

Plexus (PLXS) came out with quarterly earnings of $2.05 per share, beating the Zacks Consensus Estimate of $1.87 per share. This compares to earnings of $1.66 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +9.43%. A quarter ago, it was expected that this electronic manufacturing services company would post earnings of $1.77 per share when it actually produced earnings of $1.78, delivering a surprise of +0.56%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Plexus, which belongs to the Zacks Electronics - Manufacturing Services industry, posted revenues of $1.16 billion for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 2.99%. This compares to year-ago revenues of $980.17 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Plexus shares have added about 67.6% since the beginning of the year versus the S&P 500's gain of 4.3%. While Plexus has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Plexus was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks...

C3.ai, Inc. AI has plunged 16.3% since reporting its third-quarter fiscal 2026 earnings performance, underperforming the Zacks Computers - IT Services industry, the broader Zacks Computer and Technology sector and the S&P 500 index. In the third-quarter fiscal 2026, AI reported a loss per share of 40 cents, wider than the Zacks Consensus Estimate of loss per share of 29 cents and loss per share of 12 cents reported a year ago. Its revenues totaled $53.3 million, missing the consensus mark of $75.82 million by 29.8% and declining 46.1% year over year. The quarterly results reflect operational challenges alongside declines in Subscription and Professional Services revenues. (read more: C3.ai Stock Tumbles on Wider-Than-Expected Q3 Loss, Revenues Down Y/Y) Investors’ sentiment is expected to have subsided due to unfavorable revenue expectations for the fourth quarter and the full fiscal year 2026, along with expected losses from operations. Notably, C3.ai underperformed a few of its key market peers, namely Palantir Technologies Inc. PLTR, BigBear.ai Holdings, Inc. BBAI and Microsoft Corporation MSFT since reporting its latest earnings performance. During the said time frame, shares of Palantir Technologies gained 17%, while those of BigBear.ai and Microsoft declined 8.2% and 1.8%, respectively. Image Source: Zacks Investment Research Nonetheless, C3.ai’s ongoing restructuring efforts and strong market trends for Artificial Intelligence and related services are boosting its prospects for the long term. Restructuring Efforts: C3.ai’s aggressive restructuring initiative marks a critical inflection point in its operating strategy. It is fundamentally redesigning the organization’s model by flattening the sales hierarchy, improving accountability and embedding AI tools across internal workflows to enhance productivity. These changes are not just about cutting expenses but about transforming how the company operates, with claims of materially higher efficiency across functions like sales, engineering and marketing. Importantly, these efforts are largely complete, reducing execution uncertainty. If successfully implemented, this leaner cost base could significantly narrow losses and create a path toward sustainable profitability, which has long been a concern for investors. In fiscal 2026, the company is targeting approximately $135 million in cost reductions. Strong...

What a brutal six months it’s been for C3.ai. The stock has dropped 41% and now trades at $9.21, rattling many shareholders. This was partly due to its softer quarterly results and might have investors contemplating their next move. Is now the time to buy C3.ai, or should you be careful about including it in your portfolio? See what our analysts have to say in our full research report, it’s free. Despite the more favorable entry price, we're swiping left on C3.ai for now. Here are three reasons you should be careful with AI and a stock we'd rather own. Billings is a non-GAAP metric that is often called “cash revenue” because it shows how much money the company has collected from customers in a certain period. This is different from revenue, which must be recognized in pieces over the length of a contract. C3.ai’s billings came in at $58.57 million in Q4, and it averaged 11.2% year-on-year declines over the last four quarters. This performance was underwhelming and shows the company faced challenges in acquiring and retaining customers. It also suggests there may be increasing competition or market saturation. For software companies like C3.ai, gross profit tells us how much money remains after paying for the base cost of products and services (typically servers, licenses, and certain personnel). These costs are usually low as a percentage of revenue, explaining why software is more lucrative than other sectors. C3.ai’s gross margin is substantially worse than most software businesses, signaling it has relatively high infrastructure costs compared to asset-lite businesses like ServiceNow. As you can see below, it averaged a 43.5% gross margin over the last year. Said differently, C3.ai had to pay a chunky $56.48 to its service providers for every $100 in revenue. The market not only cares about gross margin levels but also how they change over time because expansion creates firepower for profitability and free cash generation. C3.ai has seen gross margins decline by 15.3 percentage points over the last 2 year, which is among the worst in the software space. If you’ve followed StockStory for a while, you know we emphasize free cash flow. Why, you ask? We believe that in the end, cash is king, and you can’t use accounting profits to pay the bills. Over the next year, analysts predict C3.ai’s cash burn will increase. Their consensus estimates imply its free cash...

Market Domination Overtime host Josh Lipton takes a look at the top stories for investors to watch on Wednesday, March 11. February's Consumer Price Index (CPI) data will be out in the morning, offering the latest insight into the US economy. Campbell's (CPB), Petco (WOOF), and more are reporting quarterly earnings results. Federal Reserve Vice Chair for Supervision Michelle Bowman will deliver remarks. To watch more expert insights and analysis on the latest market action, check out more Market Domination Overtime.

Shares of BigBear.ai Holdings, Inc. BBAI have faced significant pressure in recent months. Over the past three months, the stock has plunged 38.4%, underperforming the Zacks Computers – IT Services industry, which declined 15.7%. The stock also lagged the broader Computer and Technology sector, which slipped 4.8%, and the S&P 500 was down 0.5%. As of March 5, BBAI shares trade around $4.04, well below the 52-week high of $9.37 but above the 52-week low of $2.36. Interestingly, the market reaction to the company’s latest earnings release has been somewhat positive. Since reporting fourth-quarter results on March 2, the stock has risen roughly 5.5%. The reaction suggests that investors may be looking beyond the weak quarterly revenue and focusing instead on the company’s improved balance sheet, strategic acquisitions and growth outlook. BBAI's Price Performance Image Source: Zacks Investment Research BigBear.ai reported a quarterly loss of $0.04 per share, narrower than the Zacks Consensus Estimate of a $0.05 loss. However, quarterly revenues of $27.3 million fell short of the Zacks Consensus Estimate by 15.83%. BigBear.ai’s fourth-quarter results reflected meaningful revenue pressure. The company reported revenues of $27.3 million, representing a sharp 38% decline from $43.8 million in the year-ago quarter. The decline was primarily due to reduced volumes on certain U.S. Army programs. Profitability also weakened during the quarter. Gross margin fell to 20.3% from 37.4% in the prior-year period, largely because the previous year included several high-margin contracts that did not repeat in 2025. Adjusted EBITDA came in at a loss of $10.3 million compared with positive adjusted EBITDA of $2 million in the same quarter last year. Higher investments in research and development and selling activities contributed to the decline. Despite the weak operating performance, the company reported a significantly smaller net loss of $5.8 million compared with a loss of $138 million in the prior-year quarter. This improvement was largely driven by non-cash accounting adjustments and tax benefits. While the quarter highlights ongoing revenue volatility tied to government contracts, management believes the business is entering a stronger growth phase. One of the most important developments for BigBear.ai is its significantly improved financial position. The company ended 2025...